Dormant doesn't mean duty-free
Directors are often caught out here: a company with no activity at all still has annual filing obligations, and the Companies House late filing penalties — £150 rising to £1,500 — apply to dormant accounts exactly as they do to trading accounts. An ignored dormant company is also a prime candidate for compulsory strike-off, which can mean losing the company name you were keeping.
What a dormant company files each year
- Dormant accounts — due 9 months after the accounting reference date. Never-traded companies limited by shares can use the simple AA02 form; companies that traded previously file dormant accounts showing the last balance sheet position.
- Confirmation statement (CS01) — at least once every 12 months, with the £34 online Companies House fee.
- Nothing to HMRC in most cases — once HMRC has been told the company is dormant, it normally stops requiring Company Tax Returns until the company becomes active again.
Becoming active again — or staying dormant
Dormancy ends the moment the company has a significant accounting transaction — issuing an invoice, paying a supplier, receiving trading income. When that happens you must tell HMRC within 3 months of starting business activity, and the next accounts will be full (micro-entity or small company) accounts rather than dormant ones. Planning to start trading? We’ll handle the switch: HMRC registration, bookkeeping setup and your first proper year-end.
What our dormant company service covers
- Confirm the company genuinely qualifies as dormant (and fix it if it doesn’t)
- Prepare and file the dormant accounts each year
- Check and file the confirmation statement, including the Companies House fee
- Notify HMRC of dormancy so no unnecessary tax returns are demanded
- Remind you of every deadline while the company stays dormant